End the tax threshold freeze to stop potentially pushing families into poverty

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Petition Action

End the tax threshold freeze to stop potentially pushing families into poverty

Petition Details

1. Legislate that, from April 2031, all income tax thresholds will rise automatically each year in line with CPI inflation or average wages (whichever is higher).

2. Apply a one-off sharp upward correction in 2031 to restore the real value lost over the decade — not a token increase.

Additional Information

The Government has frozen core income tax thresholds (personal allowance £12,570, higher rate £50,270) at 2021/22 levels until April 2031. Nearly a decade of unprecedented fiscal drag.

This stealth tax erodes the real value of allowances and will pull millions more people into poverty by 2031, even if wages rise with inflation. If thresholds had been indexed to inflation, the personal allowance would be around £4,920 higher and the higher rate threshold £20,120 higher.

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